Advertising has been the whole and sole way of creating customers, which in turn builds a brand. With changing times, there has been a shift in the medium of advertising. While the traditional way of advertising used to include newspapers, TV, hoardings and pamphlets; modern day advertising is much more advanced and has a far better reach than traditional advertising ever had. Digital marketing has brought about a revolutionary change in the way advertisements used to be perceived. They are no longer a medium to attract people to buy their specific product or service; they are now all about creating a demand and making the customers realise that they need the product or the service. Programmatic digital advertising takes advertising to the next level!
Introduction to programmatic advertising
In simple words, programmatic ad buying is the use of software and algorithms to buy digital advertising space, as opposed to the traditional ways that used to include quotations, tenders, proposals, human interaction and too much time to make the same advertising relevant.
Programmatic ad buying involves rational utilization of Demand-side platforms (DSPs), which help the advertisers in the process of buying advertising, and media inventory and Data management platforms (DMPs) that help in finding advertisers their target audience. The demand is then met with the target audience, which is derived through the collection and analysis of vast amount of data taken from the (DMPs) with the use of software and algorithm. The data allows the advertisers to make appropriate decision about who their target audience might be and which will be the best platform to reach them. With all the automations, humans are left for performing more beneficial actions like optimization and improvement of the ads.
How is programmatic display different from Google display network?
Google display network lets online advertisers to post ads to users across different websites. They can use domain, keyword or topic or interest to attract their target audience. Google display network gives the advertisers options to have control over their placements, bids and ad schedule. It uses behavioural target rather than query based target.
Programmatic advertising on the other hand takes advertising to the next level. Unlike Google display network, programmatic advertising can analyse and decode behavioural data at a much faster rate. It uses software, so it’s like a machine’s intelligence in choosing the best placements in real time, based on a user’s interest, behaviour and location. It uses powerful Real-time bidding to buy ad space by using present user data in a more adequate way than GDN.
How is programmatic advertising useful for business?
Programmatic advertising is efficient and useful for business as it in its ideal state is designed to find the best combination of ad placement, creative and message that results in highest return on investment by the business. The system is such a big success and has gain popularity is because it is an efficient use of both time and resources.
Business can rely on algorithms, wherein you provide your programmatic solution some information about your campaign as well as some Key performance indicators (KPIs), and that will determine where their ad money will be best spent, it will also monitor your ad spend to look for areas of improvement. EMarketer’s 2017 estimated US spends on programmatic ads at €33 billion and in that 74.5% or $24.25 billion is done through private market places or direct setups.
Ways in which programmatic advertising help in brand marketing plan
With programmatic advertising, there is detached technology involved which with the help of high speed, automated analyses of media inventory and sharing of behavioural data places advertisements across multiple websites, mobile apps, devices and creative formats.
While planning programmatic advertising will discover insights about customers. The target audience’s personalities are detected and analysed so as to know what their interest is and to which websites the products can be more relevant on.
Programmatic advertising helps in brand marketing plan by being on top of customer behavioural changes. Any changes, reflects in the data and with that, the placements of the ads can be changed accordingly.
How programmatic advertising help in performance of marketing campaigns
Programmatic advertising helps in focusing on new customers, as there are already existing customers and customers that are already interested in buying the advertisers product or service. Programmatic advertising focuses on new customers by going through user data and behavioural data. This builds a brand stronger, as it expands its reaches to new customers.
Programmatic advertising helps in understanding an agency’s relationship with media. It not only launches digital ads and campaigns but also monitors the amount spent on it and keeps a look out for any area of improvement. The ad placement done on numerous websites helps create brand awareness among its target audience.
Programmatic advertising helps set realistic goals and to define guidelines for your advertisement. It detects behavioural changes among the target audience, and keeps improving the placements of the ads accordingly. It is a more sophisticated version of Google display network.
Reasons why programmatic digital advertising should be a part of marketing strategy
Programmatic buying opens up new market environment for business. Unlike traditional methods of advertising, programmatic advertising uses customer behavioural data to place ads, which makes it a possibility to open new environment for any product or service. It changes the way advertisers approach potential new customers by emphasizing on audience buying rather than site buying.
Programmatic ads improve results and efficiency, as there is a coded program running the ads, and not a human, the rate of error will be considerably low. Machines don’t provide favours and are not personally biased, and hence the emotionally detached programmatic advertising should be a part of marketing strategy.
Programmatic ad buying is automated and hence makes the process easier and less chaotic. As there are algorithmic programs involved, human efforts are far more less. Tenders, proposals, quotations and human interactions have become limited, thanks to the programmatic advertising.
Programmatic advertising is the future of marketing industry, making it easier and automated for the businesses to create a market for themselves without going through the hardships of the research that used to be involved while they were using the traditional methods of advertising. It has opened the gates for new age technology that has so much to offer, but was not being utilized in a proper way up until today!